ThyssenKrupp in the first 9 months 2009/2010
Further recovery in key customer sectors: Quarter by quarter increase in order intake and sales / Improvement in earnings: EBT of €918 million generated in first 9 months / 3rd quarter: EBT of €414 million best for seven quarters / Outlook raised: Adjusted EBT expected to be in the mid to higher three-digit million euro range
Dr. Ekkehard Schulz, Chairman of the Executive Board of ThyssenKrupp AG: "Demand has improved significantly in our key customer sectors and core markets. But with the economic environment remaining volatile, we will continue systematically with our chosen course of continuous structural optimization. Based on the positive business trend in the first 9 months of the fiscal year our outlook for full-year sales and earnings has improved."
We expect a slight increase in sales in fiscal 2009/2010. Earnings are expected to improve significantly and return to profit, thanks in part to the cost reduction programs we have initiated. Adjusted earnings before interest and taxes (excluding nonrecurring items) will probably exceed one billion euros. Adjusted earnings before taxes (excluding nonrecurring items) are expected to be in the mid to higher three-digit million euro range. Adjusted EBT will be significantly impacted by startup losses in the Steel Americas business area in the mid three-digit million euro range.
Dr. Ekkehard Schulz, Chairman of the Executive Board of ThyssenKrupp AG: "We have successfully started up the first key units at our new plants in North and South America: Blast furnace 1 in Brazil was fired up in mid July and the hot strip mill in Alabama produced its first coil at the end of July. We are pleased that even in this early phase of the ramp-up our new facilities are meeting with strong demand from our customers in the NAFTA region."
The highlights for the first 9 months 2009/2010:
- Compared with the first 9 months of the previous fiscal year, order intake increased by 8% to €30.6 billion.
- Sales were 1% higher at €31.1 billion.
- EBITDA improved to €2,443 million from €726 million in the prior year.
- EBIT came to €1,418 million, compared with €(466) million in the prior year.
- Adjusted EBIT increased from €15 million in the prior year to €1,423 million.
- EBT at €918 million exceeded the prior-year figure of €(987) million.
- Adjusted EBT amounted to €923 million, compared with €(506) million in the prior year.
- Earnings per share improved year-on-year from €(1.73) to €1.38.
- Net financial debt at June 30, 2010 was €3,753 million, an increase of €1,694 million compared with September 30, 2009, when we reported net financial debt of €2,059 million. Capital spending in the same period amounted to €2,460 million, of which €1,708 million alone related to the major projects in Brazil and the USA.
- 3rd-quarter order intake was up 38% from the prior-year period at €10.9 billion.
- Sales at €11.7 billion were 26% higher than a year earlier.
- EBITDA improved by €1.1 billion to €935 million.
- EBIT reached €587 million, compared with €(597) million in the prior year.
- Adjusted EBIT increased year-on-year from €(289) million to €653 million.
- At €414 million, EBT significantly exceeded the prior-year figure of €(772) million.
- Adjusted EBT was €480 million, compared with €(464) million a year earlier.
- Earnings per share improved from €(1.38) to €0.58.
- Steel Europe - Good capacity utilization, higher average selling prices and significantly higher raw material costs
- Steel Americas - Negative EBT contribution due to startup losses for the steel and processing plants in Brazil and the USA
- Stainless Global - Slipping volumes, mainly due to seasonal factors, stable end-customer business and slow demand from distributors due to nickel price
- Materials Services - Slipping volumes, mainly due to seasonal factors, higher flat steel prices and continuing strong demand from the auto and machinery sectors
- Elevator Technology - Continuing high earnings contributions thanks to high orders in hand and steady maintenance business
- Plant Technology - Continuing good revenue and earnings visibility in project business due to order backlog with good earnings quality
- Components Technology - Recovery in demand for construction equipment, mainly positive earnings from automotive suppliers and continuing positive earnings contribution from slewing bearings for the wind energy sector
- Marine Systems - Continuing losses due to lack of work in civil shipbuilding until completion of consolidation of shipyard sites
ThyssenKrupp is an integrated materials and technology group with currently almost 175,000 employees in more than 80 countries developing ideas and innovations to offer solutions for sustainable progress. In the 2008/2009 fiscal year they generated sales of more than €40 billion. Eight business areas focus the Group's activities and know-how in the strategic competency areas of Materials and Technologies. In addition to manufacturing materials and plants, the Group also provides complete system solutions and innovative services. We are continuously optimizing our portfolio to sustainably increase the earning power and the value of the Company.